Shipping and trade sources said tankers carrying US LNG were on their way to China after Beijing started granting tax waivers to some importers.
After a long-standing trade war in which China raised tariffs on LNG imports from the US to 25 percent last year, this is the first time since March 2019 that shipments have resumed.
After loading cargoes last month in the US, four LNG tankers are en route to China. Between late April and early May, the tankers are expected to arrive in China. SK Resolute, one of the tankers, is now heading to Tianjin, China.
Loaded from Sabine Pass (Louisiana), Hoegh Giant and Cool Explorer are now heading to Tianjin, China as well. On March 25, the fourth tanker loaded from Corpus Christi (Texas). The tanker on Monday changed its destination to Tianjin. It is due to arrive on April 21 at the Chinese port.
Granting tax waivers has been started by China to LNG importers. Details were not clear on the companies that have received tariff exemptions. The tariff has dropped to zero, though a separate value-added tax of 10 percent still applies, two of the sources said.
